SIOUX CITY, Iowa — An Iowa-based farm and ranch supplier is expanding big-time.
Bomgaars announced Wednesday that it will acquire 73 Orscheln Farm and House stores, making it the second-largest retailer of its kind nationwide.
The Federal Trade Commission approved the acquisition Tuesday. Bomgaars is acting as a third-party participant in the deal between Tractor Supply Company and Orscheln in order to avoid anti-trust concerns.
Tractor Supply Company has 167 stores in Missouri, Kansas, Nebraska, Iowa, Indiana, Oklahoma, Arkansas, Texas, Kentucky, Illinois and Ohio.
“Today, we are pleased to announce that after a year and a half of very complex, multi-party negotiations, Bomgaars will acquire 73 stores in seven states, and experience an unprecedented level of growth for our customers, our community, and our company,” said CEO Torrey Wingert.
Tractor Supply Company paid $297 million in cash for the deal, according to a press release. Bomgaars, which is privately held, did not disclose what it paid for the Orscheln stores.
With the addition of 73 new stores, Bomgaars will have a total of 180 locations in the central United States. The mega-deal will also add 1,400 employees to the company.
“While the federal approval process was at times equally exhausting and frustrating, our team and the Bomgaars family remained steadfast in their determination to complete this acquisition, and this collective commitment to do so was a big part in ensuring this deal was successfully concluded,” Wingert said.
Bomgaars also will acquire Orscheln’s 330,000 square-foot distribution center in Moberly, Missouri, next year.